Xcel Energy announces a $162 mill electricity rate reduction in Colorado

Denver, CO, Dec. 2, 2005 — Xcel Energy announced it has filed for a $162 million net decrease in electricity rates with the Colorado Public Utilities Commission (CPUC). The Electric Commodity Adjustment (ECA) rate affected is designed to recover generation fuel and purchased-energy costs. The company has also filed the Renewable Energy Standard Adjustment (RESA) as a result of the voter-approved Amendment 37 initiative to fund expansion of the company’s renewable energy programs.

If approved by the CPUC, typical residential electric customer bills, including the RESA charge, would decrease by $3.71 per month or 6 percent, based on average use of 625 kilowatt-hours. Typical small business electric customer bills, including the RESA charge, would decrease by $7.63 per month or 6 percent, based on average use of 1,265 kilowatt-hours. If approved, the new rates would take effect on Jan. 1, 2006.

The effect on customer bills is the combination of today’s two filings and two made on Nov. 1: a 6 percent decrease in the ECA, the cost of the RESA, that reflects a 1 percent increase on a customer bills, a small decrease of less than 1 percent for the Purchased Capacity Cost Adjustment rider and a less than 1 percent decrease for most customers of the Air Quality Improvement Rider.

The filing will also affect the rate that customers pay for Windsource, a renewable energy product in Colorado. As previously stated in an amended ECA filing in October, Windsource customers who selected all of their power from the program received a credit of $4.11 a month as compared to customers who received their power from fossil-fuel generated sources. The new ECA rate, because of decreases in the projected cost of fuel, will reduce the difference between the wind rate and the ECA rate to a credit of $0.45 per month for fully-subscribed Windsource customers.

“The cost of natural gas required to produce electricity has been swinging up and down. This filing is a rate based on what we can predict for the price of generation fuel and purchased energy costs that also takes into account certain market indicators over the coming year,” said Fred Stoffel, Xcel Energy vice president for policy development.

Previous articleWRI Corporate Renewable Energy Group hits 360 MW Mark
Next articleESCO announces acquisition of Nexus Energy Software

No posts to display